Debt beta of zero and gm only uses debt and equity financing

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Suppose the un-levered beta for GM's new project is estimated to be 0.945. GM desires a debt-to-firm value ratio of 40% for this project. Assume the corporate tax rate is 25%. Find the equity (levered) beta for GM's new project. Assume debt beta of zero and GM only uses debt and equity financing

Reference no: EM132408783

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